AM I NEXT? NO LOVE AT SABRE

Southlake, Texas-based Sabre Corporation, a travel technology systems provider for air bookings in North America, has announced a broad restructuring effort and plans to lay off 15% of its workforce.

The reduction in force will impact 1,100 employees across all levels and functions and will take place before the end of the second quarter.

Kurt Ekert, President and CEO of Sabre, noted, "The travel industry continues to experience improvements in booking volumes each quarter, and we are optimistic that Sabre is poised for growth. We have put strategic plans in place designed to reposition our business, lean into new revenue opportunities while continuing to cultivate our core business, and strategically reduce our cost base.

We acknowledge that cost-reduction plans will impact team members around the world and are often the most difficult decisions a leader must make. We are confident, however, that by realigning our resources to drive growth, we will best position Sabre for long-term success and deliver value to our stockholders and our customers.”

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT CEDARS SINAI

Los Angeles, California-based Cedars-Sinai Medical Center, one of the largest nonprofit academic medical centers in the United States, has announced a cost-reduction initiative.

The reduction in force will impact 131 nonpatient care employees, including pharmacy technicians, administrative support staff, patient service representatives, and management employees. Cedars-Sinai has also cut approximately two dozen employees at other Cedars-Sinai-related entities.

According to a hospital spokesperson, “Despite our high volumes of inpatient and ambulatory care, the gap between our revenue and expenses is growing — the result of underpayments from government insurance programs and the rising costs of caring for patients, among other factors. We appreciate that these changes are difficult and painful, and we have taken every step possible to avoid them."

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? IS THE HANDWRITING ON THE WALL AT BURGER KING?

Miami, Florida-based Burger King, a major fast food restaurant chain owned by Toronto, Canada-based Restaurant Brands International, has announced that they will be closing approximately 400 stores by the end of the year.

The number of employees impacted is unknown since many of the locations are owned by franchises, some of which have already declared bankruptcy.

According to the company, 124 Burger Kings have already shuttered this year, and up to 400 face closure by the end of 2023. The company plans to focus on working with smaller franchisees to "improve the overall health" of the company's franchise system.

Joshua Kobza, Restaurant Brands International CEO, noted, "One of the most important factors is the willingness of our franchisees who have several restaurants to work with us and commit to implementing the changes necessary." And that the company plans to only allow high-quality operators to build or acquire existing restaurants that will operate regionally and with local ownership. There is a "fair degree of uncertainty regarding exact numbers" of future closures. This will depend, to some extent, on the pace of recovery in the business, which we've already begun to see."

Like most large restaurant chains, rising interest rates and rising minimum wages have an adverse impact on the business. The idea of paying a burger flipper $35,000/year seems outrageous, given the lack of an increase in productivity. It is not uncommon to see a $50 bill for a family of four, pricing fast foods beyond the range of its traditionally poor to middle-class customer base.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?